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Multiple Clubs Ownership


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Our original colours were chocolate brown and blue. The following season when ordering the kit there was a cock up at the tailor's and the chocolate changed to claret and a legend was born

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  • 2 months later...

I see Liverpool are now dipping into the multi-club market with the soon to be appointment of their new CEO.

Liverpool fans will of course take the moral high ground, as this will be in no way similar to what City have been doing.  It will be different now they are doing it.

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  • 3 months later...

Since this is rolling on in on-topic I might as well bump this one and add some articles about it.

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Multi-club ownership becomes the risky model for America’s soccer spree'

 This article is more than 1 year old

Multi-club ownership becomes the risky model for America’s soccer spree

 

 It is a trend that a few months ago was described by Uefa’s European Club Footballing Landscape report as “being fuelled predominantly by United States-based investors” and having “the potential to pose a material threat to the integrity of European club competitions”. Yet Aleksander Ceferin’s admission that European football’s governing body is considering a rule change after Manchester United’s takeover talks raised issues around potential conflict of interests seemed to indicate it is a threat Ceferin feels the game must embrace.

Uefa’s report published in February estimated that 6,500 players from 195 clubs – a 75% increase in less than three years – were employed by 27 multi-club investment groups, a third of which are based in the US. It is too early to say whether this is a passing fad, but John Textor – whose Eagle Football Holdings has shares in Lyon, Crystal Palace, the Brazilian side Botafogo and the Belgian club RWD Molenbeek – believes the model is here to stay.

https://www.theguardian.com/football/2023/jun/17/multi-club-ownership-becomes-the-risky-model-for-americas-soccer-spree

Long Guardian article from last year.

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And a more recent one from Forbes

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The Profits And Pitfalls Of Multi-Club Ownership In Soccer

From City Football Group to Red Bull, the multi-club ownership model has shown that it can bring success on the soccer pitch. Now, with an increasing number of private equity funds getting involved in soccer, this MCO model could become more common.

Given the potential for MCOs to improve both on-the-pitch and off-the-pitch performance, George Syrianos, founder and CEO of Fenida, a specialized soccer strategy and analytics consultancy, says that when it comes to the area of MCOs, there are still some “exploitable inefficiencies” where clubs can easily create benefits. He currently works as an advisor to the board for Premier League side Nottingham Forest, whose owner Evangelos Marinakis also owns Greek side Olympiacos and is in the process of buying Portuguese side Rio Ave.

Syrianos says MCOs allow owners to “diversify their investment across different markets and capitalize on synergies in player recruitment, sponsorship and branding opportunities,” but that the most intriguing aspect of MCOs is the ability to manage the player recruitment holistically, creating value in the process.

 

https://www.forbes.com/sites/steveprice/2024/02/20/the-profits-and-pitfalls-of-multi-club-ownership-in-soccer/

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And another

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The complicated Americanization of European soccer

An 'investment opportunity'

"More than a third of the 92 professional teams in England's top four leagues now have some form of U.S. ownership," Bloomberg said. When teams come up for sale, "the likely buyers are mostly American." In part, the match is an opportunistic convenience, with U.S. sports leading the world "in terms of commercialization and monetization of various assets" but without "the international reach of football," American-owned Burnley Football Club advisor Sasha Ryazantsev explained. 

The trend, particularly in regard to private equity firms, has been fueled most recently by the COVID effect, The Associated Press said. Many clubs were "distressed after COVID," 777 Partners Operating Partner Jonathan Lutzky said. The pandemic-fueled downturn allowed the Miami-based firm, which has stakes in clubs across Europe, to "get in at a good price point," Lutzky said. His story is not unique, either. COVID restrictions "kept fans out of the stands and costs rose," which in turn created "an opening for more U.S. investors to take a stake in the increasingly popular global sport," CNBC said. Often, this caused American investors to "snap up multiple teams and move toward a so-called 'multi-club' model." The process is "similar to the minor leagues in the U.S.," in which "players can be transferred throughout the various clubs owned by the same investor, building up their talent and potentially being sold to a higher league."

https://theweek.com/sports/american-soccer-football-premier-league-owner

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And another

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UEFA details trend and risks of teams in multi-club owner groups in $28BN European soccer industry

More than 300 soccer clubs were in ownership groups involving multiple teams in a trend driven by American investors that could threaten the integrity of European games, UEFA said on Thursday.

UEFA detailed the growing popularity of “multi-club ownership” – with investors, if not always the fans – in its annual analysis of the European soccer economy it predicts was worth about 26 billion euros ($27.9 billion) in revenue for clubs in 2023.

Multi-club groups led to an “increased risk of seeing two clubs with the same owner or investor facing each other in the same competition, creating potential integrity risks at the European level,” UEFA director of research Andrea Traverso acknowledged in the 118-page report.

The report was published while two teams among 13 in the Abu Dhabi-backed City Football Group network — Manchester City and Girona — are second, respectively, in the English Premier League and La Liga standings and shape to qualify for next season’s Champions League.

UEFA said fewer than 40 clubs worldwide were in ownership networks in 2012. Now it identified 105 top-division clubs in Europe having a “cross-investment relationship” with at least one other club. There were 112 more European clubs involved who play in lower tier divisions.

American investor groups combined to have majority stakes in 37 top-tier European clubs, the UEFA report said, and 65 clubs in total – almost five times more than the next highest total of 14 clubs in Italian ownership groups.

American ownership groups include RedBird whose prize asset is AC Milan, Eagle Football which has Lyon, and 777 Partners, whose pursuit of English club Everton has intensified scrutiny on legal issues for its companies in the U.S.

RedBird and another American-backed group, Aston Villa’s owner V Sports, were investigated by a UEFA-appointed panel last year. Milan and its French sibling Toulouse, plus Villa and Vitória Guimarães in Portugal all qualified for European competitions.

UEFA judged the multi-club owners had some “decisive influence” over both teams and the cases led to board members being removed, investment stakes cut or divested, one-year transfer embargoes, and ending shared use of scouting databases.

Collusion in the transfer market between clubs in shared ownership has been cited by UEFA as another integrity risk, though its latest research suggested this was “perhaps not the main (driver of multi-club purchases), as most people tend to think.”

UEFA also insisted its club monitoring rules previously known as Financial Fair Play will “prevent advantages from related-party loans or transfers.”

While being in a multi-club network has been welcomed at Girona, fans have protested against American owners in recent weeks in England, Belgium and France.

https://apnews.com/article/uefa-multiclub-ownership-4027576658a95b8fa811515480b4f95b

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It makes perfect sense to own more than one club. You have some feeder teams, you have a wider scouting network, more youth teams, can transfer players between clubs for very low cost, get work permits for players in countries where its easier to get work permits and loads more benefits besides those. It's also pretty much impossible to stop it. It's easy to setup complicated company or hedge fund networks where nobody knows who the power brokers really are. 

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(Mainly) American venture capitalists diversifying their portfolio to get synergy. Aka "The beautiful game"

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On 26/11/2023 at 13:00, Zatman said:

It should be banned and I am very disappointed we are involved in it. Football clubs lived for hundreds of years for the fans without these shit takeovers

* Now awaiting people telling me this is the way football is and support a different sport if you dont want to embrace this great change*

So lets say they ban it and the owners put all their shares up and no one wants to buy then what?

They should have banned this from day 1 as well as states owning clubs

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Botafogo just spent a record 20 million on Thiago Almada who will automatically move to Lyon on January 1st 2025. Botafogo get to cheer the new star signing for 5 months

How is this good for football again?

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Has anyone got a summary list of who owns who?

I know City have multiple clubs, Chelsea have a group with Blue in the name that owns a few, I think United still have links with a Belgian club and others and I know the Italian clubs are starting to get involved - is there anywhere that summarises the various groups?

 

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32 minutes ago, OutByEaster? said:

Has anyone got a summary list of who owns who?

I know City have multiple clubs, Chelsea have a group with Blue in the name that owns a few, I think United still have links with a Belgian club and others and I know the Italian clubs are starting to get involved - is there anywhere that summarises the various groups?

 

Would also be nice to know how the ownership types compare. We have partnerships with some, and outright ownership of others.

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35 minutes ago, OutByEaster? said:

Has anyone got a summary list of who owns who?

I know City have multiple clubs, Chelsea have a group with Blue in the name that owns a few, I think United still have links with a Belgian club and others and I know the Italian clubs are starting to get involved - is there anywhere that summarises the various groups?

 

Palace own Lyon and Botafogo plus Molenbeek and have been doing dodgy deals via Lyon

Maybe Lyon own Palace

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2 hours ago, OutByEaster? said:

Has anyone got a summary list of who owns who?

I know City have multiple clubs, Chelsea have a group with Blue in the name that owns a few, I think United still have links with a Belgian club and others and I know the Italian clubs are starting to get involved - is there anywhere that summarises the various groups?

 

This was from 2022 and covers owners in the EFL too 

https://www.nytimes.com/athletic/3610992/2022/09/21/multi-club-ownership-boehly-chelsea-city-football-group/

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Italy is also very confusing 

A combined 20 clubs from Italy’s Serie A, Ligue 1 in France and La Liga are part of multi-club models, with the former, replete with its own American investment, leading the way. The US owners of AC Milan, Bologna, Genoa and Fiorentina all own stakes in other clubs, too.

In Italy, the ability of owners to operate multiple clubs across divisions, outlawed in other nations, can still provide hurdles.

Lazio owner Claudio Lotito was forced to sell Salernitana in January after the latter club reached Serie A, with the newly-promoted side risking expulsion from the top flight otherwise. A similar prospect would face his Napoli counterpart Aurelio De Laurentiis should Bari, playing in Serie B for 2022-23, repeat last season’s success in the third tier.

 

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  • 4 weeks later...

Even with City owning them and getting Champions League, Girona have been destroyed this summer and probably be in a relegation battle next season

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3 hours ago, Zatman said:

Even with City owning them and getting Champions League, Girona have been destroyed this summer and probably be in a relegation battle next season

How? Why? 

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9 hours ago, ender4 said:

How? Why? 

No idea why they are doing it but the spine has been torn out of the team and more players to leave after

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